McElroy Coal Co. v. Dobbs (Signed Opinion)
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The Supreme Court affirmed the circuit court's grant of partial summary judgment finding that Gary Dobbs retained his right to purchase pasture land under a 1976 option agreement and that Terry and Catherine Dobbs triggered that right to purchase when they signed a 2007 option agreement, holding that the circuit court did not err.
After Lyle Hobbs died, the land he owned passed to his wife and two sons, Terry and Gary. The trio conveyed a small parcel to the sons for a slaughterhouse. The remaining land, including a pasture, was conveyed to Terry and his wife, Catherine. Gary reserved the right to buy back the pasture land if Terry died or if Terry and Catherine decided to sell or assign the pasture land. Gary subsequently purchased the slaughterhouse property at auction. Decades later, Terry and Catherine entered into an option agreement with McElroy Coal Company to either sell the pasture land or provide McElroy Coal a waiver of liability for the company's mining operations. McElroy Coal chose a waiver and paid Terry and Catherine. Thereafter, Gary sued McElroy Coal and Terry and Catherine, alleging that they breached the 1976 option agreement. The circuit court granted summary judgment for Gary. The Supreme Court affirmed, holding that the circuit court did not err.
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